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Crowdfunding Your Craft Beverage Business

May 29, 2014 By Craft Beverage Jobs 1 Comment

Craft Beverage & Crowdfunding

Looking to grow your craft beverage business? Crowdfunding may be the place to start. In 2012 the Jobs Act was signed into law and provided small business’ more opportunities to gain the start-up capital they need to succeed. Portions of the Jobs Act (officially called the Jumpstart Our Business Startups Act), directly spoke to the use of crowdfunding.

What is Crowdfunding?

crowdfunding plant out of moneyAccording to Forbes, crowdfunding is the process of funding a project or enterprise by raising many small amounts of money from a large number of people, typically via the Internet.  Versions of crowdfunding can be found as far back as the 17th century, when donors could have their names printed on the title pages of books for contributing to its publication. Perhaps the grandest example was the funding of the pedestal for the Statue of Liberty.  Over 125,000 people donated, most less than $1, and raised $100,000 in just six months. Today, with the help of crowdfunding websites, billions of dollars are raised from the donations of the masses.

Craft Beverage

One of the largest sectors of the economy taking advantage of Crowdfunding is Specialty Foods, which covers craft beverage. Craft beverage entrepreneurs are using crowdfunding portals  such as Indiegogo and Kickstarter to fund start up craft breweries, craft coffee businesses,  wine and spirits related business, etc. Social media has become a factor with crowdfunding because it allows smaller, local “mom & pop” craft beverage companies to reach a global audience to help finance their operations.

crowdfunding info graphic 1

Advantages To Crowdfunding Your Craft Beverage Business

As a craft beverage business there are several advantages to crowdfunding your next project:

  1. Market Research: its a great opportunity to determine if there is a market for your project.
  2. Its like having your own Focus Group: you get immediate feedback that helps you fine tune your project or product before going to market.
  3. Builds a strong Customer Base: funders get to engage with your new business creating a loyal customer base for the future.
  4. Raising Money! Crowdfunding enables you to get the necessary start up dollars to start your new venture!

 

collection-of-crowdfunding-company-logos

 

Craft Beverage Jobs Contributes To Santa Cruz Mountain Brewing!

Craft Beverage Jobs recently got into the crowdfunding spirit by contributing to this awesome Indiegogo project for Santa Cruz Mountain Brewing called Yikes, We Need A Bigger Beer Garden! Their goal was to generate capital to cover construction, operating, and the labor expenses for the expansion of  their unique beer garden. The Beer Garden is where customers can drink beer while hanging with their kids and dogs…OUTSIDE! 

 Stone Brewing Co. Uses IndieGoGo To Become The First American Craft Brewer To Own & Operate Brewery In Europe

We all know the growth of Craft Beer in the United States, but Europe is experiencing a boom as well. Stone Brewing Co. is taking advantage of this craft beer revival by opening a brewery, bistro, and beer garden in Berlin, Germany. To help fund this ambitious leap across the Atlantic, Stone Brewing Co. has  launched a crowdfunding campaign with IndieGoGo.

What we are offering is the opportunity to be a part of something groundbreaking.

20140715165911-Crowdfunding_howitworks_final2

One of the perks for contributing to the campaign is the privilege of experiencing once in a lifetime beer collaborations. These special brews are for a limited time, so contributors will truly be experiencing a unique opportunity. These Stone Brewing Collaborations include Brewdog, Dogfish Head and Baladin.

Crossroads Coffee House: Loyal Customers Start Crowdfunding Campaign To Rebuild Community Coffee House After Devastating Fire

The community of Highland Park neighborhood in Rochester, NY was heartbroken to read on the Crossroads Coffeeshop’s Facebook page that their favorite coffeehouse was closed due to fire damage.

Dear Neighbors, Friends and Family. We are heartbroken to announce that a fire (maybe electrical) ripped through the roof of the coffeehouse this afternoon. Luckily the coffeehouse side was CLOSED and no one was hurt. Thank you all for your well wishes and continued support as we navigate this difficult time.  Sincerely, Charlie and Cailin

As a testament to the relationship of craft beverage businesses and community, several of the faithful customers of The Crossroads Coffeehouse, began a Rebuild Crossroads Coffeehouse campaign. One of the resources they turned too for his noble cause was the crowdfunding website IndieGogo. The Rebuild Crossroads Coffeehouse campaign has set a modest goal of $5,000 and as of August 10th has reached 41% of their goal.

crossroads coffee fire

Local Rochester News 10, WHEC Rochester, reported that Crossroads Coffeehouse owners, Cailin and Charlie Willey have always been supportive of their community. From sponsoring local little league to providing free gallery space for local artists, Crossroads is a true example of community support that exemplifies so many craft beverage establishments.

This is another example of how a Crowdfunding campaign can be used to support a Craft Beverage project. In this case, it also shows the power of community, which is a consistent characteristic with craft beverage businesses across the USA.

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